Integrated Marketing Communications The holistic approach

Tony Yeshin BSc(Econ), MCIM

Published in association with The Chartered Institute of Marketing

118302

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UTTERWORTH EINEMANN

OXFORD AMSTERDAM BOSTON LONDON NEW YORK PARIS SAN DIEGO SAN FRANCISCO SINGAPORE SYDNEY TOKYO

LLRC .

Preface Acknowledgements

Part One

Contents

1 Marketing communications - an overview Aims and objectives The changing nature and role of marketing communications A brief historical perspective The background to marketing communications The growth of marketing communications Blurring of the edges of the tools of marketing communications The strategic challenges facing organizations Strategic marketing communications The expanded marketing communications mix The communications process Achieving integration within the communications mix The philosophy and structure of the book References Additional reading

2 Understanding the marketplace Aims and objectives The dimensions of consumer and organizational buying behaviour The consumer market The changing consumer Targeting Positioning Understanding consumer behaviour Organizational buying behaviour The contribution of market research References Additional reading

xiii xv

3 3 3 3 4 6 8 9

11 11 12 14 15 15 15

16 16 16 16 19 20 21 21 25 27 34 34

vi Contents

3 Product and service strategies 36 Aims and objectives 36 Managing products and services over the life cycle 36 Branding definitions 37 Strategic importance of branding 38 Strategic brand building 39 The dimensions of branding 39 Branding strategy 44 Brands and consumer perceptions 46 Identifying and building brand values 49 Altering brand imagery 51 The strategic value of brand extensions and brand stretch 53 The roles of marketing communications in branding 55 The challenges facing brands 58 Service brands 64 References 65 Additional reading 66

4 The integration of marketing communications 67 Aims and objectives 67 The impact of external factors on marketing communications 69 The driving forces behind the growth of IMC 73 The impact on marketing communications 74 Relationship marketing 74 The benefits of IMC 75 The process of achieving integration 76 Organizational approaches to integration 79 The barriers to integration 80 References 81 Additional reading 82

5 Managing the marketing communications mix 83 Aims and objectives 83 Organizing for marketing communications 83 The strategic dimension of human resources 84 The brand manager 84 Category management 85 The category manager 85 The use of agencies 86 Establishing the budget 87 Budgeting for integrated marketing communications 93 References 96 Additional reading 96

6 Choosing and using marketing communications agencies 97 Aims and objectives 97 The structure and roles of marketing communications agencies 97 The UK agency scene 97

Contents

Agency structures The advertising agency Other services to the agency team Other agency / consultancy structures Regional agencies The changing role of marketing communications The agency/client relationship Agency remuneration The criteria for agency selection References Additional reading

Part Two

7 Advertising Aims and objectives The diverse nature of advertising The functions of advertising The advantages and limitations of advertiSing Types of advertising The advertising process Understanding the advertising process The strategic aspects of advertising planning Brand positioning Implications for strategy development Advertising strategy and the product life cycle Determining the advertising objective Developing the advertising plan Business-to-business advertising References Additional reading

8 The development of advertising Aims and objectives The creative brief Creative strategies and tactics The creative challenge Advertising appeals Styles of advertising Using celebrities Music in advertising Non-verbal communications Creativity in advertising Advertising and the brand personality Guidelines for evaluating creative output

vii

98 99

106 106 107 107 109 110 113 115 115

119 119 119 120 122 123 124 126 130 132 134 135 138 139 142 142 143

144 144 144 149 150 152 153 156 157 158 158 161 161

....

viii

Measuring advertising effectiveness and campaign evaluation References Additional reading

9 Media and media planning Aims and objectives The role of media planning The changing face of the media Access to media and their characteristics The new media The media plan The importance of media strategy Media information Sources Identifying target audiences Strategic options Media scheduling issues Alternative approaches to media scheduling Implementing the media plan Other media considerations Contingency planning Evaluation of the media plan The changing face of media implementation References Additional reading

10 Sales promotion Aims and objectives The growing role of sales promotion The benefits of sales promotion The limitations of sales promotion The determination of objectives Sales promotion objectives Sales promotion strategy Sales promotion techniques Promoting to consumers Brand franchise Point of purchase communications Strategic dimensions of sales promotion Joint promotions (or cross promotions) The evaluation of sales promotion Research into sales promotion The legal framework for sales promotion The use of sales promotion agencies Selecting promotional agencies The integration of sales promotion activities International sales promotion activity References Additional reading

Contents

161 166 166

168 168 168 169 171 174 176 178 179 181 181 182 185 187 188 189 189 190 191 191

192 192 192 194 195 196 197 199 200 205 206 207 207 209 210 213 215 216 216 218 218 218 219

Contents

11 Direct marketing Aims and objectives The growth of direct marketing The impact of direct marketing The factors contributing to the growth of direct marketing The advantages of direct marketing techniques The limitations of direct marketing The importance of the database The use of the database The stra tegic approach to direct marketing The objectives of direct marketing Building relationships The management of direct marketing The planning process Using direct marketing consultancies The use of media The use of market research in direct marketing The use of testing in direct marketing The application of direct marketing Analysing direct marketing results Business-to-business activity Non-profit organizations Relationship marketing Integrating direct marketing International direct marketing activity References Additional reading

12 Public relations Aims and objectives A comparison between public relations and advertising Other benefits of public relations The functions of public relations The 'publics' of public relations The management of public relations Using PR consultancies In-house versus consultancy PR campaign development The identification of public relations problems and opportunities Programme planning Evaluation of public relations The tools of public rela tions Corporate public relations objectives Financial public relations Charity PR Integration of PR activities International aspects of public relations References Additional reading

ix

220 220 220 222 222 224 226 227 230 231 231 233 235 235 237 238 239 242 243 244 245 246 246 247 248 248 249

250 250 251 252 254 256 259 260 261 261 262 263 264 264 265 266 267 268 268 268 269

x

13 Sponsorship and product placement Aims and objectives Event management and business sponsorship Product placement References Additional reading

14 Corporate communications Aims and objectives The growth of corporate activity . . The growing importance of corporate communICatlOns Corporate image and identity The objectives of corporate communications The communication of company image The management of corporate communications Audiences for corporate communications The process of establishing a corporate identity Types of corporate identity Corpora te communica tions Measuring COrporate communications Key aspects of corporate communications . ti· ns

d· . of corporate cornrnunlca 0 Crisis management: an important ImenSlOn Key dimensions of crisis management Handling a crisis References Additional reading

15 International marketing communications Aims and objectives The growth of international marketing Multinational versus global marketing The development of global brands Global branding Understanding the international consumer Legal and regulatory requirements Media availability and usage The competitive environment The move to global marketing communications . Central or local Control of marketing commumcatlOns The merits and demerits of standardized communIcattons. The development of multinational communications agenCles The selection of an agency for international business International marketing and marketing communIcattons strategy The development of international advertlsmg The development of international sales promotion The development of international public relations The development of international direct marketing ..

. . tivlttes The development of other international commUnICatlOns ac International market research

Contents

270 270 270 278 280 280

281 281 281 282 283 283 286 287 289 290 291 292 293 294 294 297 297 298 298

299 299 299 299 301 301 305 310 311 311 311 312 314 315 318 320 320 322 323 323 325 325

Contents

References Additional reading

16 Future developments in marketing communications Aims and objectives Changes in the broad environment The impact on the marketing function The changing face of the communications industry References Additional reading

Glossary of terms

Index

xi

326 327

328 328 328 331 332 335 335

337

345

Above the line, 337 A.c. Nielsen MEAL, 180, 211-12 Account executive, 337 Account planner, 37 Accountability, 334 ACORN, 239, 337 Adoption process, 337 Advertising, 4-6, 119-42, 144-66, 337

advantages and limitations of, 122-3 advertising appeals, IS0-3, 337

appeals to ego or self-esteem, 152-3 emotional appeals, ISI, 340 rational appeals, IS0- 1

advertising manager, 337 advertising plan, 139-41, 337 advocacy advertising, 337 brand personality and, 161 brand positioning, 132-3 business-to-business advertising, 142 campaign evaluation, 161-6

competitor information, 163 consumer research, 163 monitoring research, 163-6 strategy development, 163

comparison with public relations, 251- 2 consistency in, 56 corporate advertising, 288, 339 creative brief, 144-9 creativity, IS8- 60

evaluation of, 161 disillusionment with, 73 diverse nature of, 119-20 expenditure, 4-6 functions of, 120-2 international advertising, 320-2, 342 leading advertisers, 59 music in, 157-8

Index

objectives, 138-9, 140- 1, 337 awareness, 140-1 changing attitudes, perceptions and beliefs,

141 communications objective, 144 image, 141 product line building, 141 reinforcing attitudes, 141 relating product to consumer needs, 141 reminder, 141

process of, 124-30 understanding of, 126-30

strategies, 130-2, 134-8, 337 determination of creative platform, 149- 50 product life cycle and, 13S-8 strategy development, 163

styles of, IS3-6 types of, 123-4

comparative advertising, 124, IS1, 338 competitive advertising, 124 pioneer advertising, 123-4

see also Media Advertising agencies, see Agencies Advertising avoidance, 149 Advertising/sales (A/S) ratio, 89 Advertorials, 265, 337 Advocacy advertising, 337 Affordability method, 92, 337 Ageing population, 19-20, 71 Agencies, 86-7, 97- 11S, 337

advertising agencies, 99-106 account management, 101 agency management team, 100 creative department, 103-4 media department, 100-S planning, 102-3

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production, 10S-6

346

Agencies - contin ued agency structures, 98-107 agency/client relationship, 109 criteria for agency selection, 113-15 disillusionment with, 73 finance, 106 full service agencies, 340 information department, 106 multinational agencies, 315- 20, 342

independent networks, 317-18 local independents, 318 selection of, 318-20

persot)Ilel, 106 regional agencies, 107 remuneration, 110-13

changing face of, 333-4 commission, 110, 338 cost-based remuneration, 111 fee-based remuneration, 111 negotiated commission, 110-11 performance-based remuneration, 111- 12 production costs, 112 time-based remuneration, 111

sales promotion, 216- 18 specialized agencies, 107-9

a la carte, 108 creative boutiques, 108 media specialists, 108

UK agency scene, 97- 8 AIDA model, 126-7, 337 Ambush marketing, 278 Andrex,77 Animation advertising, 156 Appropriation, 337 Asda,61 Association of Independent Radio Contractors

(AIRC),181 Assorted media mix, 182 Attention, 25, 337 Attitudes, 30, 337 Attributes, 337 Audience, 338

corporate communications, 289- 90 target audiences, 147, 181, 344

Audit Bureau of Circulation (ABC), 180 Awareness, 140-1, 338

Banded packs, 202 Beliefs, 141,338 Below the line, 338 Benefit segmentation, 338 Benetton, 156

Billings, 338 Bisto,78- 9 Black box model, 338 Blind taste tests, 38 Boddington's, 133, 148 Bonus packs, 201- 2, 338 Brand heritage and history advertising, 155 Brand managers, 84 Branded corporate identity, 292 Branding:

definitions, 37- 8 dimensions of, 39- 44 global branding, 301-2 international branding, 303-5 marketing communications roles in, 55-8 strategy, 39, 44-6, 47

generic branding, 46, 340 manufacturer branding, 44- 5, 341 mixed branding, 45- 6 multi-branding, 45, 341 multi-product branding, 44-5 private branding, 46

Brands, 36-7, 338 brand equity, 43- 4, 338 brand extensions, 53-5 brand franchise, 206- 7 brand leadership, 48- 9 brand loyalty, 205-6, 338 brand name, 40- 1

Index

brand positioning and image, 32- 3, 50, 135, 338 advertising and, 132- 3, 161 altering brand imagery, 51- 3

brand promise, 33 brand relationships, 58 brand values, 49- 51, 266 budgeting, 93 challenges facing brands, 58-64

brand look-alikes, 61- 3, 341 brand response, 63-4 changes In retailing, 58-9 consequence of manufacturer failure, 60-1 growth of private labels, 59-60 weakening brands, 58

consumer perceptions and, 46-9 global brands, 301-3

development of, 301 management of, 302-3

importance of, 36- 7, 38-9 market research, 32- 3 objectives, 93 proliferation of, 7 protection ot 42

Index

service brands, 64-5 valuation of, 42- 3 see also Branding

British Airways, 252, 298 British Code of Sales Promotion Practice, 215 British Rate and Data (BRAD), 179 Broadcast Audience Research Board (BARB), 29,

181 Broadcasting, 339 Budgeting, 87-93, 147

competitive expenditure, 91 DAGMAR approach, 91-2 desired share of voice, 91 experimentation, 92 for integrated marketing communications, 93-6

allocating the promotional budget, 94-5 budget contingency, 94 consumer continuum, 95-6

integration and, 81 marginal analysis, 88-9 media inIIation, 91 new products, 93 percentage of anticipated turnover, 90 percentage of product gross margin, 90 percentage of sales, 89- 90, 342 residue of previous year's surplus, 90 sales promotion, 197 Unit- Case- Sales ratio method, 90-1 'what we can afford ' approach, 92, 337

BUPA,54- 5 Burst, 338 Business-ta-business activity, 338

advertising, 142 direct marketing, 245-6

Butterfield diamond framework for strategic analysis, 131

Buying behaviour, see Consumers; Organizational buying behaviour

Cable and Wireless, 284 Case rate method, 338 Category managers, 85- 6, 338 Celebrities, use in advertising, 152-3, 156-7 Centralization, 313 Charity public relations, 267-8 Cinema advertising, 174 Cinema and Video Industry Audience Research

(CAVIAR), 181 Circulation, 338 Co-operative advertis ing, 339 Coca Cola, 38, 55, 132, 205, 271-2, 308, 312 Cognitive response, 338

Commission, 110, 338 negotiated commission, 110-11

Committee of Advertising Practice (CAP), 215 Communications, 338

communication channels, 13 future developments, 330 integration, 14 noise/interference, 13,342 non-verbal communication, 72, 155, 158, 342 process of, 12-14 public relations role, 255

347

see also Advertising; Corporate communications; Marketing communications

Communications industry, changing face of, 332-5

accountability, 334 agency remuneration, 333-4 communications strategy, 332-3 education and training, 334-5 global marketing, 334 indus try structure, 332 information technology, 333 integration, 333

Community relations, 255 Company structure, 83-4 Comparative advertising, 124, 151, 338 Competitions, 204-5, 338 Competitive advertising, 124 Competitive strategy, 33, 135 Complex problem solving, 338 Comprehension, 338 Concentrated marketing, 20 Concentrated media mix, 181-2 Concept testing, 338 Consortia, 79 Consultancies:

direct marketing, 237-8 public relations, 260-1

Consumer market, 16- 19 future developments, 331 rnarketsegmentation, 17-19,340,341,344 market structure, 341 market targeting, 20, 344 mature market, 341 understanding the market, 29- 32 see also Market research

Consumers: buying behaviour, 16, 21- 5, 206, 338

attention, 25,337 changing patterns, 328-9 decision-making process, 22-3, 134-5 factors influencing buying behaviour, 23-5

348

Consumers - continued buying behaviour - continued

perceptual selection, 25, 70- 1 problem solving, 23, 134, 338 promotional activity and, 200 purchasing patterns, 185, 206

characteristics of, 19-20 consumer continuum, 95-6 consumer loyalty:

brand loyalty, 338 direct marketing and, 232-5 loyalty programmes, 74, 232, 234-5

discerning consumers, 70, 73 interactivity with, 225 international consumers, 305-10

culture and tradition, 307-10, 339 language, 316 standards of living, 310

targeting of, 20-1 identification of target audiences, 147, 181 tes ting, 242

transactional information, 225 Contests, 204-5, 338 Contingency, 338

budget contingency, 94 Continuing character advertising, 155 Copy testing, 339 Core values, 338 Corporate cohesion, 76 Corporate communications, 281-98

advertising, 288, 339 audiences for, 289-90 communication of company image, 286-7 corporate advertising, 339 evaluation of, 293-4 growth of, 281-2 key aspects of, 294 management of, 287-8, 292-3 objectives, 283-6 public relations, 265-6, 288 see also Corporate identity; Crisis management

Corporate identity, 283, 339 es tablishment of, 286, 290-1 types of, 291-2

Corporate image, 283, 339 communication of, 286- 7

Corporate strategy, 339 Corporations with autonomous units, 79 Cost per thousand, 339 Coupons, 201, 339 Coverage, 182, 339 Creative boutiques, 108

Creative brief, 144-9 Creative strategy, 339 Creativity, in advertising, 158-60 Credit facilities, 8 Crisis management, 266, 294-8, 339

dealing with crisis, 297-8 key dimensions of, 297 phases of crises, 296

Culture, international consumers, 307-10, 339 Custom marketing, 20 Customers, see Consumers

DAGMAR approach, 91-2, 127-8, 139,339 Daily Mirror, 213 Databases, 225, 227-31, 339

external databases, 228, 340 use of, 228-9

internal databases, 227-8, 340 management applications, 231 marketing applications, 230 profiling, 229-30 sources of relevant information, 228-9

Decentralization, 313

Index

Decision-making process, 22-3, 134-5,309, 339 Decision-making unit (DMU), 26, 246, 339 Decoding, 339 Defensive strategy, 33-4 Demographic factors, 17, 19-20, 339 DHL,154 Diesel Jeans, 189 Differentiated marketing, 20 Diffusion, 339 Direct marketing, 220-48, 339

advantages of, 224-6 application of, 243-4 business-to-business activity, 245- 6 consultancies, 237-8 costs of, 226 direct mail, 5, 239, 339 evaluation of, 226, 244 growth of, 220- 2

contributing factors, 222-4 impact of, 222 integration of, 247-8 international activity, 248, 323-5 limitations of, 226-7 management of, 235 market research use, 239-42 media use, 238-9, 240 non-profit organizations, 246 objectives, 231-3 planning process, 235-7

Index

relationship marketing, 233-5, 246-8 strategic approach, 231 telephone marketing, 239, 344 testing, 226, 242-3 see also Databases

Direct response, 339 Direct response television, 239 Direct selling, 339 Display allowance, 339 Distribution, 7

direct marketing, 232 distributor relations, 258

Drip, 339 Dyson, 121, 146, 151

Education, 334-5 Ehrenberg model, 129-30 Emotional strategy, 340 Encoding, 340 Endorsed corporate identity, 291-2 Endorsement, 340

in advertising, 154 Environmental issues, 71, 73, 330 Ethics, 340 Eurostar, 124 Event management, 256, 270 Event sponsorship, 340 Every day low prices (EDLP), 340 ExlUbitions, 270-1 Exposure, 340

Family composition, changes in, 71 Family life cycle, 340 Fantasy advertising, 156 Feedback,225,340 Financial Services Act (1986), 215 F1ighting, 340 Free gifts, 202-3 Free mail-ins, 203-4, 340 Full service agencies, 340

Generic strategy, 135 generic branding, 46, 340

Geodemographic segmentation, 340 Geographic segmentation, 340 George and Michael model, 129 Global marketing, 72, 299-301, 340

changing face of, 334 global brands, 301-3

management of, 302-3 global marketing communications, 311-12 see also International marketing

Gold Blend campaign, 155 Goldeneye, 279 Granada, 41 Grand Metropolitan, 287 Green Flag, 272 Green imperative, 71 Gross margin, 90, 340 Guerrilla marketing, 278

Haagen Dazs, 33, 132, 147, 148, 188 Halo effect, 33, 340 Hard sell advertising, 150 Heightened Appreeiation model, 129, 130 Heinz, 61, 135 Hierarchy of effects, 340 Hoover, 213 Hospitality, 270 Households, 20, 71 Howard-Sheth model, 22 Human resources, 84

IBM, 252, 315, 316 Impulse purchase, 340 In-pack free gifts, 202 In-pack premiums, 340 In-store sampling, 205 Infomereials, 156, 265 Information access, 72-3 Information overload, 69-70 Information technology, 330, 333 Institute of Sales Promotion (lSP), 215

349

Integrated marketing communications (!MC), 14, 333,340

barriers to integration, 80- 1 benefits of, 75-6 budgeting for, 93- 6

allocating the promotional budget, 94-5 budget contingency, 94 consumer continuum, 95- 6

competitive environment, 311 definition, 68-9 direct marketing integration, 247-8 driving forces behind, 73 impact of, 74 organizational approaches to integration,

79-80 process of achieving integration, 76-9 see also Marketing communications

Integrated organization, 79-80 Interaction, 76 Interference, 13

350

International marketing, 299-326 central versus local control of communications,

312-14 centralization, 313 combination, 314 decentralization, 313

direct marketing, 248, 323-5 growth of, 299 international advertising, 320-2, 342 international branding, 303-5 legal and regulatory requirements, 310- 11, 323 market research, 305, 325-6 media availability and usage, 311 multinational agencies, 315-20, 342

independent networks, 317-18 local independents, 318 selection of, 318-20

multinational versus global marketing, 299-301

public relations, 268, 323 sales promotion, 218, 322-3 standardized communications, 314-15 strategy, 320 understanding international consumers, 305-10

culture and tradition, 307-10, 339 language, 306 standards of living, 310

see also Global marketing Investor relations, 257

Joint Industry Committee for Regional Press Research (JICREG), 181

Just Noticeable Difference aND), 341

Language, 306 Lavidge and Steiner model, 127 Lever Bros., 251 Levi's, 50, 51, 54, 135, 148, 157, 189 Living standards, improvements in, 8 Local Trading Standards Officers, 215, 216 Look-alike brands, 61-3, 341 Loyalty:

brand loyalty, 205-6, 338 direct marketing and, 232-5 loyalty programmes, 74, 232, 234-5

McDonald's, 307 Magazine advertising, 4, 172 Mailing lists, see Databases; Direct marketing Manufacturer branding, 44-5, 341 Manufacturing services, growth of, 6 Marginal analysis, 88-9

Market research, 8, 27-34, 341 brand positioning and personality, 32-3 brand promise, 33 contribution to strategic direction, 33-4 direct marketing and, 239-42 effective reach of target consumers, 33 external sources, 29 internal sources, 29 international marketing, 305, 325- 6 market planning, 28- 9 process of, 28 public relations and, 262 stages of, 28 understanding the market, 29-32

Market segmentation, 17-19, 340, 341, 344 Marketing communications, 341

background to, 4- 6 changing nature and role of, 3, 107 discipline overlap, 8-9 global marketing communications, 311- 12 growth of, 6- 8

specialist companies in, 8 understanding of use of, 8

historical perspective, 3- 4 impact of external factors, 69-73

ageing population, 71 changes in family composition, 71 discerning consumers, 70 green imperative, 71 growth of global marketing, 72 growth of narrow casting, 71 iniormation overload, 69-70

Index

non verbal communications, 72, 155, 158, 342 perceptual values, 70-1 speed of information access, 72-3

relationship marketing, 74-5, 76 research, 32 roles in branding, 55-8 standardized communications, 314-15 strategic marketing communications, 11 see also Communications; Corporate

communications; Integrated marketing communications (IMC)

Marketing communications mix: expanded marketing communications mix, 11-12 integration within, 14 see also Integrated marketing communications

(!MC) Marketing concept, 341 Marketing function, 311- 32 Marketing mix, 341

see also Marketing communications mix

Index

Marketing objectives, 341 Marketing plan, 341 Marketing strategy, 341 Markets, see Consumer market Mars, 42, 121, 280 Mass marketing, 341 Matrix organization, 79 Media, 4- 6, 147, 168-91, 341

changing face of, 169- 71, 190- 1 characteristics of, 171-4, 175

cinema, 174 posters, 174 press, 172 radio, 172-4 television .. 171-2

direct marketing and, 238-9, 240 future developments, 330- 1 information sources, 179- 81 international marketing, 311 media mix, 341 media relations, 256, 258- 9 media specialist agencies, 108 new media, 174- 6 planning, 176-8,341

contingency planning, 189 evaluation of media plan, 189-90 implementation of media plan, 187- 8 role of, 168-9

scheduling issues, 182-7, 341 competitive environment, 183 creative factors, 186 intrusive nature of message, 182-3 marketing factors, 185-6 media factors, 186- 7 message length, 183 nature of message, 183 number of exposures, 183- 4 purchasing patterns, 185 seasonality factors, 185 status of brand, 185

strategy, 178-9, 181-2 wider reach of, 8

Merge and purge, 341 Mini-drama advertising, 155 Mixed branding, 45-6 Money-off promotions, 200-1, 341 Monolithic corporate identity, 291 Motivation, 76,308, 309

direct marketing and, 225 Multi-branding, 45, 341 Multinational marketing, 299-300

see also Globalrnarketing; International marketing

Murdoch, Rupert, 42 Music, in advertiSing, 147- 58

Narrow casting, 71, 342 National Readership Survey (NRS), 181 Neseafe, Gold Blend campaign, 155 New products:

direct marketing applications, 232 future developments, 329-30 marketing communications budget, 93 sales promotion, 198 see also Products

Newspaper advertising, 4, 172 Nike, 57, 188-9, 307- 8 Noise, 13, 342 Nokia, 280 Non-profit organizations, 246-7 Non-verbal communication, 72, 155, 158, 342

Objective and task method, 342 On-pack free gifts, 202 Opinion forming, 254-5, 258 Opinion leader, 342 Opportunistic advertiSing, 155 Organizational buying behaviour, 25- 7

buying centre, 26 derived demand, 27 purchasing process, 26- 7

Organizational s tructure, 83-4, 285-6 agency structures, 98- 107 communications industry structure, 332 integrated organizations, 79-80

OSCAR,181 Outboard Marine Corporation, 314

Packaging, brand image and, 57-8 Participation, 76 Pastiche advertising, 155 People like me advertising, 155 Pepsi, 38, 213, 272, 280 Perceptions, 141, 342

brands and, 46- 9 Perceptual map, 50, 342 Perceptual selection, 25, 70-1 Perrier, 42, 121, 146 Personal selling, 342

decline in, 7 PEST + C, 342 PG TIps, 146 Pioneer advertising, 123- 4 Pioneer stra tegy, 33

351

352

Planntng, 341,342 advertising plan, 139- 41, 337

advertising agencies, 102- 3 direct marketing, 235-7 market planning, 28-9 media planning, 176-8, 341

contingency planning, 189 evaluation of media plan, 189-90 implementation of media plan, 187-8 role of, 168-9

public relations, 263-4 Point of purchase communications, 207, 288, 342 Polychronic Tune Use, 190 POSitioning, 21, 342

brand positioning, 32-3 Post-purchase dissatisfaction, 342 Post-purchase satisfaction, 342 POSTAR 11, 181 Poster advertising, 174

direct marketing and, 239 Premium, 342

self-liquidating premium, 344 Press advertising, 4, 172 Pretty Polly, 188 Price discrimination strategy, 199-200 Print media, 4, 172

direct marketing and, 239 Private label brands, 46, 59-60 Problem solving, 23, 134, 342, 343

complex problem solving, 338 Problem-solution advertising, 153 Procter & Gamble, 45, 85, 86, 251 Product as hero advertising, 153 Product placement, 278-80, 342 Products:

demonstration of, 153 life cycle, 342

advertising strategy and, 135-8 management and, 36-7

sales promotion objectives, 197- 8 tes ting, 242 see also New products

Projective techniques, 50 Promotion, 342

management of, 343 promotional mix, 343 see aLso Sales promotion

Prudential Corporation, 77-8 Psychographic factors, 17, 343 Public relations, 250-68, 343

benefits of, 251-4 brand image and, 57

campaign development, 261-2 charity PR, 267-8 comparison with advertising, 251-2 corporate public relations, 265-6, 288 direct marketing and, 239 evaluation at 264 financial public relations, 266-7 functions of, 254-6

Index

identification of problems and opportunities, 262-3

integration 01, 268 international aspects of, 268, 323 management of, 259-60 planning, 263-4 PR consultancies, 260-1

in-house versus consultancy, 261 publics of, 256- 9

buyers and consumers, 258 distributors, 258 employees, 257 local community, 258 media, 258-9 national community, 258 opinion formers, 258 shareholders and investors, 257 suppliers, 257- 8

tools of, 264- 5 see also Relationship marketing

Pull strategy, 343 Pulsing, 343 Purchasing behaviour, see Consumers;

Organizational buying behaviour Push strategy, 343

Qualitative research, 241, 343 Quantitative research, 239- 41, 343

Radio: advertising, 4, 172- 4

costs of, 173 direct marketing and, 238

programme sponsorship, 172,273-4 Radio Joint Audience Research (RAJAR), 181 Rating point, 343 Ralners, 282 Reach, 8, 33, 182, 343 Rebate, 343 Reduced price offers, 200-2, 343 Reebok,280 Reference groups, 343 Refund,343

Index

Regional agencies, 107 Relationship marketing, 74-5, 76, 343

direct marketing and, 225, 233-5, 246-7 see also Public relations

Renault, 155 Retailers, power shift towards, 73 Road blocking, 343

Safeway,46 Sainsbury's, 62, 64 Sale of Goods Act, 215 Sales promotion, 192- 218,343

agencies, 216-18 benefits of, 194-5 brand franchise, 206-7 brand image and, 56 budgeting, 197 evaluation of, 196, 210-12 growing role of, 192-4 integration of activities, 218 international activity, 218, 322-3 joint promotions, 209-11 legal framework, 215- 16, 323 limitations of, 195-6 objectives, 196- 9

consumer objectives, 197-8 determination of, 196-7 trade objectives, 198-9

point of purchase communications, 207, 342 promoting to consumers, 205-6 research into, 213-14

desk research, 213-14 monitoring research, 214 pre-testing, 214 qualitative research, 214 quantitative research, 214

strategies, 199- 200,207-9 consumer behaviour .. 200 price discrimination, 199-200

techniques, 200-5 contests and competitions, 204-5, 338 free gifts, 202-3 free mail-ins, 203-4 in-store sampling, 205 reduced price offers, 200-2,343 self-liquidating offers, 204, 344

Sales Promotion Consultants Association (SPCA) awards, 214

Sampling, 205, 344 Scheduling issues, see Media Seasonality factors, 185 Segmentation, see Market segmentation

Self-liquidating offers, 204, 344 Services:

management over life cycle, 36-7 service brands, 64-5

Share prices, 256, 285 Shareholder relations, 257 Shell, 255, 263, 282 Shock advertising, 156 Slice of life advertising, 154 Snickers, 175 Soft sell advertising, 150 Spokespersons, 57, 154 Sponsorship, 56-7, 256, 270-8, 340, 344

evaluation of, 276-8 growth of, 274- 5 guerrilla marketing, 278 international aspects, 325 issues, 275-6 radio programmes, 173, 273-4 television programmes, 172, 273-4

353

Standards of living, international consumers, 310 Stella Artois, 38 Strategies, 341

advertising strategies, 130-2, 134-8, 337 creative strategy, 339 determination of creative platform, 149-50 product life cycle and, 135-8 strategy development, 163

challenges, 9-11 communications strategy, changing face of,

332-3 competitive strategy, 33, 135 corporate strategy, 339 defensive strategy, 337 4 direct marketing, 231 emotional strategy, 340 generic strategy, 135 intemational marketin& 320 market research contribution to, 33- 4 media strategy, 178-9, 181-2 pioneer strategy, 33 pull strategy, 343 push strategy, 343 sales promotion strategies, 199-200,207-9

consumer behaviour strategy, 200 price discrimination strategy, 199- 200

strategic brand building, 39 Subaru, 132 Sunlight Soap, 37 Supplier relations, 257-8 Sweepstakes, 344 SWOT analysis, 344

,

354

Tango, 51, 58, 160 Target Group Index (TGI), 29, 181 Targeting, 20- 1

direct marketing and, 224, 232 testing, 242

of consumers, 20-1 identification of target audiences, 147, 181

of markets, 20, 344 see also Positioning

Teaser advertising, 156 Technology, growth in, 7 Telephone marketing, 239, 344 Television:

advertising, 4, 171-2 costs of, 171- 2 direct marketing and, 238 direct response TV; 239 expenditure, 4- 5

programme sponsorship, 172, 273-4 Tesco, 46, 48, 253 Testimonial advertising, 154 Testing, 226,242-3, 338

copy testing, 339 Tetley Tea, 218 Texaco, 272- 3

Thames Water, 286 The Body Shop, 254, 287 Tracking study, 344 Trade allowances, 344 Tradition, international consumers, 307-10 Training, 334- 5 Transportation, improvements in, 7 Tylenol, 42

Undifferentiated marketing, 20 Unique Selling Proposition, 344 Unit- Case-Sales ratio method, 90- 1 Usage, 30 Usage and Attitude (U&A) Studies, 29- 30

Value for money, 73 Values and lifestyles (VALS2) model, 17-19 Virgin, 55, 253, 263, 287 Visual communication, 72

Walkers Crisps, 295 Weights and Measures (Miscellaneous Foods)

Order (1997),216 With-pack free gifts, 202 Wonderbra, 147

Index